San Francisco-based DevOps startup Sysdig announced Wednesday that it raised $188 million in new financing. The Series F, led by Premji Invest & Associates and Third Point Ventures, places the unicorn’s valuation at $1.19 billion.
Cloud security applications like Sysdig have taken off since the onset of the pandemic. Companies everywhere have been forced to adopt dynamic digital security solutions to ward off hackers and continue business as usual.
Sysdig’s new annual contract value added during the second half of the 2021 fiscal year was 2.3x the amount added in the same period during the previous fiscal year, according to the company.
The Sysdig platform enables companies to run containers, Kubernetes and cloud-based applications while both managing security risks and meeting compliance requirements. Companies like Yahoo Japan and IBM rely on the platform to secure their build pipelines, detect and respond to runtime threats, monitor service health and more.
Sysdig’s SaaS deployment model enables companies to reduce security risk and improve operational efficiency by 25 to 50 percent, according to the company.
“Sysdig was founded as an open source company and architected for secure DevOps. In contrast, Palo Alto was founded as a proprietary firewall company, and that mindset slows app delivery in the cloud,” Suresh Vasudevan, CEO of Sysdig, said in a statement. “The leading security stack for cloud delivered apps will be built on open source with a secure DevOps approach that delivers deep visibility into containers and cloud.”
Moving forward, Sysdig will use the additional capital to grow its research and development team in San Francisco. In the meantime, seven Bay Area-based engineering positions at the company are currently up for grabs. A key emphasis will be placed on expanding channel partnerships as the company continues to scale.
Sysdig will also use the funding to help drive its sales and marketing efforts in existing markets. The company has its eyes set on expanding to several new markets as well, primarily in the Asia-Pacific region.
Sysdig has raised $394 million in financing to date, according to the company.
Additional investors Accel, Bain Capital Ventures, Goldman Sachs and Insight Partners participated in the round, among others.